Common use of District Health Board Clause in Contracts

District Health Board. The employer shall pay an SMO on an on call roster either an average weekly payment based on the annual calculated cost of on call, divided by the roster ratio (e.g. 1:5); or by payment for every separate occasion or ‘event’ the employee is on call. The ‘average’ or ‘event’ approaches are based on the same criteria. The approach adopted by each roster group must be at the agreement of both the employer and the whole roster group. The On Call rate (weekday or weekend) is calculated on a points system using the following criteria: ● number of contacts per call after 10 pm ● immediacy ● length of attendance, and ● Registrar support. As shown in table 1 below, points are allocated based on the level of criteria met. The total points scored will determine the appropriate call category (from A(x) to E), as shown in table 2 below. Criteria Points Number of contacts per on call period after 10 pm (averaged) 0-2 .......................................................................... 2 3-4 .......................................................................... 5 5-6 .......................................................................... 8 6+.......................................................................... 10 Immediacy (averaged) No attendance until next day 2 Delayed attendance (1 – 2 hrs) 3 Prompt attendance (15 mins – 1 hour) 5 Immediate (with 15 minutes) 10 Length of Attendance (averaged per call back) No return likely – rare event 2 Short duration (less than 1 hours) 5 Medium duration (1 to 3 hours) 8 Long Duration (3 to 4 hours) 10 Extra long duration (4 hours plus) 12 Registrar Support No support required 0 Full – 24 hour cover 2 Limited – hours of coverage 4 Points Range Weekdays Loading Weekend and Stats Loading No of events pa........................................249 115 A(+)…………………………………38+…………….6.375 10.500 A(x)................................... 33-37.............4.100 7.500 A....................................... 27-32.............3.230 6.059 B ....................................... 22-26.............2.423 4.845 C ....................................... 17-21.............1.817 4.039 D....................................... 11-16.............1.414 2.428 E ......................................... 0-10.............0.808 1.591 On an event basis (payment for each separate occurrence) the rates above apply. On an average basis, the total annual cost of on call activities is calculated and the payment split between those participating on that roster. The annual total cost is calculated as 249 x weekday amount (based on relevant criteria score) added to 115 weekend/statutory day amount (based on same score)

District Health Board. The employer shall pay an SMO on an on call roster either an average weekly payment based on the annual calculated cost of on call, divided by the roster ratio (e.g. 1:5); or by payment for every separate occasion or ‘event’ the employee is on call. The ‘average’ or ‘event’ approaches are based on the same criteria. The approach adopted by each roster group must be at the agreement of both the employer and the whole roster group. The On Call rate (weekday or weekend) is calculated on a points system using the following criteria: ● ⚫ number of contacts per call after 10 pm ● ⚫ immediacy ● ⚫ length of attendance, and ● ⚫ Registrar support. As shown in table 1 below, points are allocated based on the level of criteria met. The total points scored will determine the appropriate call category (from A(xA(+) to E), as shown in table 2 below. Criteria Points Number of contacts per on call period after 10 pm (averaged) 0-2 .......................................................................... .................................................................................. 2 3-4 .......................................................................... .................................................................................. 5 5-6 .......................................................................... .................................................................................. 8 6+.......................................................................... .................................................................................. 10 Immediacy (averaged) No attendance until next day 2 Delayed attendance (1 – 2 hrs) 3 Prompt attendance (15 mins – 1 hour) 5 Immediate (with within 15 minutes) 10 Length of Attendance (averaged per call back) No return likely – rare event 2 Short duration (less than 1 hours) 5 Medium duration (1 to 3 hours) 8 Long Duration (3 to 4 hours) 10 Extra long duration (4 hours plus) 12 Registrar Support No support required 0 Full – 24 hour cover 2 Limited – hours of coverage 4 Category Hourly rate Step 6 specialist scale at T2 Points Range Weekdays Loading x Step 6 (x 2) Weekend and Stats Loading x Step6 (x 2) No of events pa........................................249 115 A(+)…………………………………38+…………….6.375 10.500 A(x)................................... 33-37.............4.100 7.500 A....................................... 27-32.............3.230 6.059 B ....................................... 22-26.............2.423 4.845 C ....................................... 17-21.............1.817 4.039 D....................................... 11-16.............1.414 2.428 E ......................................... 0-10.............0.808 1.591 On an event basis (payment for each separate occurrence) the rates above apply. On an average basis, the total annual cost of on call activities is calculated and the payment split between those participating on that roster. The annual total cost is calculated as 249 x weekday amount (based on relevant criteria score) added to 115 weekend/statutory day amount (based on same score)) Taranaki District Health Board The employer shall pay an employee on a roster an availability allowance of up to 10% of an employee’s full-time salary. The allowance shall be calculated in accordance with the formula below. In determining the level of the allowance the employer shall take into account the frequency of call, frequency of telephone calls during rostered on call hours, immediacy of response to attend work, electronic aid provision and onerous duty weighting. The allowance will be reviewed not more frequently than three (3) monthly. Frequency on call 5 10 15 20 35 50 75 100 1:06 1:05 1:04 1:03 01:02.5 1:02 01:01.5 1:01 >2 <2-3 <4-5 <6-7 <8-9 >10 Immediacy of response to attend work (depends partly on support of junior staff) 0 3 7 15 30 80 >2 hrs <2 hrs <60 min <45 min <30 min >15 min (times refer to time arrival at hospital) portable long ran telephone ge pager long range pager only neither long range pager or portable telephone • likelihood of return to the hospital workplace when on rostered call • junior medical staff cover is absent, or are liable to request the Senior Medical Officer or Senior Dental Officer attendance at the hospital. • high frequency of emergency attendance required at the hospital within 15 minutes. • All the above factors must be present to qualify for the weighting. Points Scale out of 220 The employer will pay an employee on a roster an availability allowance calculated as a percentage of the base salary (full-time equivalent) as detailed below. Subject to the approval of the employer, the employee may elect alternative recognition to the allowance. AVAILABILITY ALLOWANCE FORMULA:

District Health Board. The employer shall pay an SMO on an on call roster either an average weekly payment based on the annual calculated cost of on call, divided by the roster ratio (e.g. 1:5); or by payment for every separate occasion or ‘event’ the employee is on call. The ‘average’ or ‘event’ approaches are based on the same criteria. The approach adopted by each roster group must be at the agreement of both the employer and the whole roster group. The On Call rate (weekday or weekend) is calculated on a points system using the following criteria: ●  number of contacts per call after 10 pm ●  immediacy ●  length of attendance, and ●  Registrar support. As shown in table 1 below, points are allocated based on the level of criteria met. The total points scored will determine the appropriate call category (from A(xA(+) to E), as shown in table 2 below. Criteria Points Number of contacts per on call period after 10 pm (averaged) 0-2 .......................................................................... .................................................................................. 2 3-4 .......................................................................... .................................................................................. 5 5-6 .......................................................................... .................................................................................. 8 6+.......................................................................... .................................................................................. 10 Immediacy (averaged) No attendance until next day 2 Delayed attendance (1 – 2 hrs) 3 Prompt attendance (15 mins – 1 hour) 5 Immediate (with within 15 minutes) 10 Length of Attendance (averaged per call back) No return likely – rare event 2 Short duration (less than 1 hours) 5 Medium duration (1 to 3 hours) 8 Long Duration (3 to 4 hours) 10 Extra long duration (4 hours plus) 12 Registrar Support No support required 0 Full – 24 hour cover 2 Limited – hours of coverage 4 Points Range Weekdays Loading Weekend and Stats Loading No of events pa........................................249 115 A(+)…………………………………38+…………….6.375 10.500 A(x)................................... 33-37.............4.100 7.500 A....................................... 27-32.............3.230 6.059 B B....................................... 22-26.............2.423 4.845 C C....................................... 17-21.............1.817 4.039 D....................................... 11-16.............1.414 2.428 E ......................................... 0-10.............0.808 1.591 On an event basis (payment for each separate occurrence) the rates above apply. On an average basis, the total annual cost of on call activities is calculated and the payment split between those participating on that roster. The annual total cost is calculated as 249 x weekday amount (based on relevant criteria score) added to 115 weekend/statutory day amount (based on same score)) The employer shall pay an employee on a roster an availability allowance of up to 10% of an employee’s full-time salary. The allowance shall be calculated in accordance with the formula below. In determining the level of the allowance the employer shall take into account the frequency of call, frequency of telephone calls during rostered on call hours, immediacy of response to attend work, electronic aid provision and onerous duty weighting. The allowance will be reviewed not more frequently than three (3) monthly. Frequency on call 0 00 00 00 00 00 75 100 1:06 1:05 1:04 1:03 01:02.5 1:02 01:01.5 1:01 0 3 7 15 30 80 >2 hrs <2 hrs <60 min <45 min <30 min >15 min (times refer to time arrival at hospital) Electronic Aid Provision 0 5 10 portable telephone long range pager long range pager only neither long range pager or portable telephone  likelihood of return to the hospital workplace when on rostered call  junior medical staff cover is absent, or are liable to request the Senior Medical Officer or Senior Dental Officer attendance at the hospital.  high frequency of emergency attendance required at the hospital within 15 minutes.  All the above factors must be present to qualify for the weighting. Points Scale out of 220 0 15 30 45 60 75 90 105 120 135 150+ 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% ASMS Te Whatu Ora SECA, 2023-2024 52 The employer will pay an employee on a roster an availability allowance calculated as a percentage of the base salary (full-time equivalent) as detailed below. Subject to the approval of the employer, the employee may elect alternative recognition to the allowance. AVAILABILITY ALLOWANCE FORMULA:

District Health Board. The employer shall pay an SMO on an on call roster either an average weekly payment based on the annual calculated cost of on call, divided by the roster ratio (e.g. 1:5); or by payment for every separate occasion or ‘event’ the employee is on call. The ‘average’ or ‘event’ approaches are based on the same criteria. The approach adopted by each roster group must be at the agreement of both the employer and the whole roster group. The On Call rate (weekday or weekend) is calculated on a points system using the following criteria: ●  number of contacts per call after 10 pm ●  immediacy ●  length of attendance, and ●  Registrar support. As shown in table 1 below, points are allocated based on the level of criteria met. The total points scored will determine the appropriate call category (from A(x) to E), as shown in table 2 below. Criteria Points Number of contacts per on call period after 10 pm (averaged) 0-2 0‐2 .......................................................................... 2 3-4 3‐4 .......................................................................... 5 5-6 5‐6 .......................................................................... 8 6+.......................................................................... 10 Immediacy (averaged) No attendance until next day 2 Delayed attendance (1 – 2 hrs) 3 Prompt attendance (15 mins – 1 hour) 5 Immediate (with 15 minutes) 10 Length of Attendance (averaged per call back) No return likely – rare event 2 Short duration (less than 1 hours) 5 Medium duration (1 to 3 hours) 8 Long Duration (3 to 4 hours) 10 Extra long duration (4 hours plus) 12 Registrar Support No support required 0 Full – 24 hour cover 2 Limited – hours of coverage 4 Points Range Weekdays Loading Weekend and Stats Loading No of events pa........................................249 115 A(+)…………………………………38+…………….6.375 .6.375… 10.500 A(x)................................... 33-3733‐37.............4.100 7.500 A....................................... 27-3227‐32.............3.230 6.059 B ....................................... 22-2622‐26.............2.423 4.845 C ....................................... 17-2117‐21.............1.817 4.039 D....................................... 11-1611‐16.............1.414 2.428 E ......................................... 0-100‐10.............0.808 0.808… 1.591 On an event basis (payment for each separate occurrence) the rates above apply. On an average basis, the total annual cost of on call activities is calculated and the payment split between those participating on that roster. The annual total cost is calculated as 249 x weekday amount (based on relevant criteria score) added to 115 weekend/statutory day amount (based on same score)

District Health Board. The employer shall pay an SMO on an on call roster either an average weekly payment based on the annual calculated cost of on call, divided by the roster ratio (e.g. 1:5); or by payment for every separate occasion or ‘event’ the employee is on call. The ‘average’ or ‘event’ approaches are based on the same criteria. The approach adopted by each roster group must be at the agreement of both the employer and the whole roster group. The On Call rate (weekday or weekend) is calculated on a points system using the following criteria: ● ⚫ number of contacts per call after 10 pm ● ⚫ immediacy ● ⚫ length of attendance, and ● ⚫ Registrar support. As shown in table 1 below, points are allocated based on the level of criteria met. The total points scored will determine the appropriate call category (from A(xA(+) to E), as shown in table 2 below. Criteria Points Number of contacts per on call period after 10 pm (averaged) 0-2 .......................................................................... .................................................................................. 2 3-4 .......................................................................... .................................................................................. 5 5-6 .......................................................................... .................................................................................. 8 6+.......................................................................... .................................................................................. 10 Immediacy (averaged) No attendance until next day 2 Delayed attendance (1 – 2 hrs) 3 Prompt attendance (15 mins – 1 hour) 5 Immediate (with within 15 minutes) 10 Length of Attendance (averaged per call back) No return likely – rare event 2 Short duration (less than 1 hours) 5 Medium duration (1 to 3 hours) 8 Long Duration (3 to 4 hours) 10 Extra long duration (4 hours plus) 12 Registrar Support No support required 0 Full – 24 hour cover 2 Limited – hours of coverage 4 Category Hourly rate Step 6 specialist scale at T2 Points Range Weekdays Loading x Step 6 (x 2) Weekend and Stats Loading x Step6 (x 2) No of events pa........................................249 115 A(+)…………………………………38+…………….6.375 10.500 A(x)................................... 33-37.............4.100 7.500 A....................................... 27-32.............3.230 6.059 B ....................................... 22-26.............2.423 4.845 C ....................................... 17-21.............1.817 4.039 D....................................... 11-16.............1.414 2.428 E ......................................... 0-10.............0.808 1.591 On an event basis (payment for each separate occurrence) the rates above apply. On an average basis, the total annual cost of on call activities is calculated and the payment split between those participating on that roster. The annual total cost is calculated as 249 x weekday amount (based on relevant criteria score) added to 115 weekend/statutory day amount (based on same score)) Taranaki District Health Board The employer shall pay an employee on a roster an availability allowance of up to 10% of an employee’s full-time salary. The allowance shall be calculated in accordance with the formula below. In determining the level of the allowance the employer shall take into account the frequency of call, frequency of telephone calls during rostered on call hours, immediacy of response to attend work, electronic aid provision and onerous duty weighting. The allowance will be reviewed not more frequently than three (3) monthly.

District Health Board. The employer shall pay an SMO on an on call roster either an average weekly payment based on the annual calculated cost of on call, divided by the roster ratio (e.g. 1:5); or by payment for every separate occasion or ‘event’ the employee is on call. The ‘average’ or ‘event’ approaches are based on the same criteria. The approach adopted by each roster group must be at the agreement of both the employer and the whole roster group. The On Call rate (weekday or weekend) is calculated on a points system using the following criteria: ●  number of contacts per call after 10 pm ●  immediacy ●  length of attendance, and ●  Registrar support. As shown in table 1 below, points are allocated based on the level of criteria met. The total points scored will determine the appropriate call category (from A(x) to E), as shown in table 2 below. Criteria Points Number of contacts per on call period after 10 pm (averaged) 0-2 .......................................................................... 2 3-4 .......................................................................... 5 5-6 .......................................................................... 8 6+.......................................................................... 10 Immediacy (averaged) No attendance until next day 2 Delayed attendance (1 – 2 hrs) 3 Prompt attendance (15 mins – 1 hour) 5 Immediate (with 15 minutes) 10 Length of Attendance (averaged per call back) No return likely – rare event 2 Short duration (less than 1 hours) 5 Medium duration (1 to 3 hours) 8 Long Duration (3 to 4 hours) 10 Extra long duration (4 hours plus) 12 Registrar Support No support required 0 Full – 24 hour cover 2 Limited – hours of coverage 4 Category Hourly rate Step 6 specialist scale at T2 Points Range Weekdays Loading x Step 6 (x 2) Weekend and Stats Loading x Step6 (x 2) No of events pa........................................249 115 A(+)…………………………………38+…………….6.375 10.500 A(x)................................... 33-37.............4.100 7.500 A....................................... 27-32.............3.230 6.059 B B....................................... 22-26.............2.423 4.845 C ....................................... 17-21.............1.817 4.039 D....................................... 11-16.............1.414 2.428 E ......................................... 0-10.............0.808 1.591 On an event basis (payment for each separate occurrence) the rates above apply. On an average basis, the total annual cost of on call activities is calculated and the payment split between those participating on that roster. The annual total cost is calculated as 249 x weekday amount (based on relevant criteria score) added to 115 weekend/statutory day amount (based on same score)

District Health Board. The employer shall pay an SMO on an on call roster either an average weekly payment based on the annual calculated cost of on call, divided by the roster ratio (e.g. 1:5); or by payment for every separate occasion or ‘event’ the employee is on call. The ‘average’ or ‘event’ approaches are based on the same criteria. The approach adopted by each roster group must be at the agreement of both the employer and the whole roster group. The On Call rate (weekday or weekend) is calculated on a points system using the following criteria: ● ⚫ number of contacts per call after 10 pm ● ⚫ immediacy ● ⚫ length of attendance, and ● ⚫ Registrar support. As shown in table 1 below, points are allocated based on the level of criteria met. The total points scored will determine the appropriate call category (from A(x) to E), as shown in table 2 below. Criteria Points Number of contacts per on call period after 10 pm (averaged) 0-2 .......................................................................... 2 3-4 .......................................................................... 5 5-6 .......................................................................... 8 6+.......................................................................... 10 Immediacy (averaged) No attendance until next day 2 Delayed attendance (1 – 2 hrs) 3 Prompt attendance (15 mins – 1 hour) 5 Immediate (with 15 minutes) 10 Length of Attendance (averaged per call back) No return likely – rare event 2 Short duration (less than 1 hours) 5 Medium duration (1 to 3 hours) 8 Long Duration (3 to 4 hours) 10 Extra long duration (4 hours plus) 12 Registrar Support No support required 0 Full – 24 hour cover 2 Limited – hours of coverage 4 Category Hourly rate Step 6 specialist scale at T2 Points Range Weekdays Loading x Step 6 (x 2) Weekend and Stats Loading x Step6 (x 2) No of events pa........................................249 115 A(+)…………………………………38+…………….6.375 10.500 A(x)................................... 33-37.............4.100 7.500 A....................................... 27-32.............3.230 6.059 B B....................................... 22-26.............2.423 4.845 C ....................................... 17-21.............1.817 4.039 D....................................... 11-16.............1.414 2.428 E ......................................... 0-10.............0.808 1.591 On an event basis (payment for each separate occurrence) the rates above apply. On an average basis, the total annual cost of on call activities is calculated and the payment split between those participating on that roster. The annual total cost is calculated as 249 x weekday amount (based on relevant criteria score) added to 115 weekend/statutory day amount (based on same score)

District Health Board. The employer shall pay an SMO on an on call roster either an average weekly payment based on the annual calculated cost of on call, divided by the roster ratio (e.g. 1:5); or by payment for every separate occasion or ‘event’ the employee is on call. The ‘average’ or ‘event’ approaches are based on the same criteria. The approach adopted by each roster group must be at the agreement of both the employer and the whole roster group. The On Call rate (weekday or weekend) is calculated on a points system using the following criteria: ● ⚫ number of contacts per call after 10 pm ● ⚫ immediacy ● ⚫ length of attendance, and ● ⚫ Registrar support. As shown in table 1 below, points are allocated based on the level of criteria met. The total points scored will determine the appropriate call category (from A(xA(+) to E), as shown in table 2 below. Criteria Points Number of contacts per on call period after 10 pm (averaged) 0-2 .......................................................................... 2........................................................................... 2 3-4 .......................................................................... 4........................................................................... 5 5-6 .......................................................................... 6........................................................................... 8 6++ .......................................................................... 10 Immediacy (averaged) No attendance until next day 2 Delayed attendance (1 – 2 hrs) 3 Prompt attendance (15 mins – 1 hour) 5 Immediate (with within 15 minutes) 10 Length of Attendance (averaged per call back) No return likely – rare event 2 Short duration (less than 1 hours) 5 Medium duration (1 to 3 hours) 8 Long Duration (3 to 4 hours) 10 Extra long duration (4 hours plus) 12 Registrar Support No support required 0 Full – 24 hour cover 2 Limited – hours of coverage 4 Category Hourly rate Step 6 specialist scale at T2 Points Range Weekdays Loading x Step 6 (x 2) Weekend and Stats Loading x Step 6 (x 2) No of events pa........................................pa 249 115 A(+)…………………………………38+…………….6.375 A(+) 38+ 6.375 10.500 A(x)................................... ) 33-37.............37 4.100 7.500 A....................................... A 27-32.............32 3.230 6.059 B ....................................... 22-26.............26 2.423 4.845 C ....................................... 17-21.............21 1.817 4.039 D....................................... D 11-16.............16 1.414 2.428 E ......................................... 0-10.............0.808 1.591 On an event basis (payment for each separate occurrence) the rates above apply. On an average basis, the total annual cost of on call activities is calculated and the payment split between those participating on that roster. The annual total cost is calculated as 249 x weekday amount (based on relevant criteria score) added to 115 weekend/statutory day amount (based on same score)

District Health Board. The employer shall pay an SMO on an on call roster either an average weekly payment based on the annual calculated cost of on call, divided by the roster ratio (e.g. 1:5); or by payment for every separate occasion or ‘event’ the employee is on call. The ‘average’ or ‘event’ approaches are based on the same criteria. The approach adopted by each roster group must be at the agreement of both the employer and the whole roster group. The On Call rate (weekday or weekend) is calculated on a points system using the following criteria: ● ⚫ number of contacts per call after 10 pm ● ⚫ immediacy ● ⚫ length of attendance, and ● ⚫ Registrar support. As shown in table 1 below, points are allocated based on the level of criteria met. The total points scored will determine the appropriate call category (from A(xA(+) to E), as shown in table 2 below. Criteria Points Number of contacts per on call period after 10 pm (averaged) 0-2 .......................................................................... .................................................................................. 2 3-4 .......................................................................... .................................................................................. 5 5-6 .......................................................................... .................................................................................. 8 6+.......................................................................... .................................................................................. 10 Immediacy (averaged) No attendance until next day 2 Delayed attendance (1 – 2 hrs) 3 Prompt attendance (15 mins – 1 hour) 5 Immediate (with within 15 minutes) 10 Length of Attendance (averaged per call back) No return likely – rare event 2 Short duration (less than 1 hours) 5 Medium duration (1 to 3 hours) 8 Long Duration (3 to 4 hours) 10 Extra long duration (4 hours plus) 12 Registrar Support No support required 0 Full – 24 hour cover 2 Limited – hours of coverage 4 Category Hourly rate Step 6 specialist scale at T2 Points Range Weekdays Loading x Step 6 (x 2) Weekend and Stats Loading x Step6 (x 2) No of events pa........................................249 115 A(+)…………………………………38+…………….6.375 10.500 A(x)................................... 33-37.............4.100 7.500 A....................................... 27-32.............3.230 6.059 B B....................................... 22-26.............2.423 4.845 C ....................................... 17-21.............1.817 4.039 D....................................... 11-16.............1.414 2.428 E ......................................... 0-10.............0.808 1.591 On an event basis (payment for each separate occurrence) the rates above apply. On an average basis, the total annual cost of on call activities is calculated and the payment split between those participating on that roster. The annual total cost is calculated as 249 x weekday amount (based on relevant criteria score) added to 115 weekend/statutory day amount (based on same score)) Taranaki District Health Board The employer shall pay an employee on a roster an availability allowance of up to 10% of an employee’s full-time salary. The allowance shall be calculated in accordance with the formula below. In determining the level of the allowance the employer shall take into account the frequency of call, frequency of telephone calls during rostered on call hours, immediacy of response to attend work, electronic aid provision and onerous duty weighting. The allowance will be reviewed not more frequently than three (3) monthly. Frequency on call 5 10 15 20 35 50 75 100 1:06 1:05 1:04 1:03 01:02.5 1:02 01:01.5 1:01 >2 <2-3 <4-5 <6-7 <8-9 >10 Immediacy of response to attend work (depends partly on support of junior staff) 0 3 7 15 30 80 >2 hrs <2 hrs <60 min <45 min <30 min >15 min (times refer to time arrival at hospital) portable long ran telephone ge pager long range pager only neither long range pager or portable telephone • likelihood of return to the hospital workplace when on rostered call • junior medical staff cover is absent, or are liable to request the Senior Medical Officer or Senior Dental Officer attendance at the hospital. • high frequency of emergency attendance required at the hospital within 15 minutes. • All the above factors must be present to qualify for the weighting. Points Scale out of 220 The employer will pay an employee on a roster an availability allowance calculated as a percentage of the base salary (full-time equivalent) as detailed below. Subject to the approval of the employer, the employee may elect alternative recognition to the allowance. AVAILABILITY ALLOWANCE FORMULA: